First Solar makes $427.7 million from capital increase

First Solar has raked in $427.7 million following a capital increase in which it offered 9,747,000 shares of its common stock.

The thin film photovoltaic module manufacturer, which priced its shares at $46 for the public offer, received approximately $427.7 million in net proceeds after underwriting discounts and estimated offering expenses.

First Solar said it intends to use the cash infusion for general corporate purposes, which may include acquisitions of under development photovoltaic solar power system projects, investments in photovoltaic solar power system projects that will be jointly developed with strategic partners and capital expenditures or strategic investments to develop certain business units and expand in new territories.

The Arizona-based company enjoyed a strong first quarter this year, posting a net profit of $ 59.1 million, compared to a loss of $ 449.4 million in the same period last year, and saw revenues skyrocket 52% to $755 million, underscoring a successful transition from purely module manufacturing towards project development and integration.

The group expects business to remain robust this year with sales of between $3.8 billion and $4 billion.

First Solar recently secured a power purchase agreement with El Paso Electric Power to develop a 50 MW solar plant in the U.S. state of New Mexico.